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    Loss Of Orders: Chengdu'S Textile Industry Is Hard To Sleep This Summer.

    2012/8/25 10:13:00 29

    Chengdu Textile IndustryLoss Of OrdersGarment Industry

     

    Most small and micro businesses are subject to global economy Slowdown in the impact of textile export orders declined. The Bureau of statistics has investigated 15 textile and garment enterprises in Chengdu. Most of the orders have been reduced. The price advantage of Chengdu textile exports has gradually lost, and most of the orders have gone to Vietnam and other Southeast Asian countries.


    The sharp decline in exports, the fluctuation of raw material prices, and the rise in labor force have made Chengdu textile and garment enterprises face up to two years ago. Management Predicament. Yesterday, the Chengdu investigation team of the National Bureau of statistics released a survey report on textile and garment enterprises in Chengdu. Most enterprises reduced their orders and their profits declined. Some enterprises' orders in the second half of this year were reduced by about 50% compared with the same period last year.


      Status quo orders halved profits drop


    The Chengdu investigation team of the National Bureau of statistics conducted a survey of 15 textile and garment enterprises in Jintang (micro-blog), Shuangliu (micro-blog), Wenjiang, Xindu and so on by visiting and telephone surveys. Most of the survey results showed that there was a reduction in orders in Chengdu. Corporate financial data show that the gross profit margin of enterprises has dropped significantly. Last year, the gross profit reached 10% of the company, which could only reach 6% this year. Most small and micro enterprises struggle on the margins of zero profit margins.


    "In the current situation, the reduction of orders in the second half of the year is about 50%." The head of Chengdu Sheng Yi clothing company said that the company completed only about 12000000 of its value in the first half of this year, while the value of the order reached about 19000000 last year, down 36.8% from the same period last year.


    The reduction of orders directly led to a sharp decrease in output value. Data from Sichuan haill clothing Limited company showed that the output value of the company reached about 30000000 last year. In the first half of the year, it finished 14 million. "In the first half of this year, we finished about 11 million yuan, down by more than 20%. Although orders for the second half of the year are basically the same as that of the same period last year, the head of haill said that the output value of the whole year will drop by nearly 2.


    Engaged in infants Clothing export The red fruit garment factory is facing greater challenges, and its output value has been shrinking for the past three years. "The output value was 58 million yuan the year before last year, 24 million yuan last year, only 5 million yuan in the first half of this year." The head of the red fruit garment factory is rather helpless.


       Cause cost advantage no longer orders to Southeast Asia


    It is understood that the cost of labor generally accounts for 30% of the total cost, and the increasing wage expense has increased the cost burden of enterprises. The staff salaries of the company increased by 10% over the same period last year; haill Clothing Co. Ltd. rose 20%, and the salaries of the employees have doubled in 3 years. The Chengdu investigation team of the National Bureau of statistics pointed out: "textile and garment enterprises have been faced with the problem of the loss of skilled workers and the difficulty of recruiting workers. In order to retain skilled workers and skilled workers, enterprises are forced to increase their wages and benefits. "


    "The price advantage of textile exports has been gradually lost, and international orders have mostly shifted to Vietnam and other cheaper Southeast Asian countries." The manager of a textile company in Chengdu told reporters that the price of raw materials such as cotton has always been higher than that of the international market, but labor prices have risen rapidly, and the cost of unit products has soared. Recruitment difficulties make enterprises worried about being unable to deliver on time due to insufficient work, often large orders companies are afraid to take over.


    The homogenization of textile and clothing products is more serious, and price has become the main means of competition. In order to stabilize production, stabilize customers and even adopt a zero profit pricing strategy, some enterprises have led to a decline in factory prices and further squeezed the living space of enterprises.


    Reform and expansion domestic market Improve technical content


    "The industry has come to the time of technology, management and sales." The Chengdu investigation team of the National Bureau of statistics shows that the technology advantage is obvious and the well-known enterprises in the domestic market are not affected too much. AI won textile has won the certification of organic silk products in Switzerland. Its market share in Europe has increased year by year, and the price of manufactured products has risen by 5%-10% over the same period. In addition, there are stable garment manufacturers and domestic well-known enterprises with stable domestic orders. {page_break}


    In the case of export setbacks, actively developing the domestic market and increasing the share in the domestic market is undoubtedly a more correct choice for the textile and garment industry. "Take Chengdu as an example. In the first half of this year, the clothing expenditure of Chengdu residents increased by 13.87%, indicating that domestic clothing demand is relatively strong."


    Insiders said that at present, the difference between domestic and foreign cotton is large, and the international cotton resources are sufficient. Because of the opportunity to expand cotton imports and reduce the cost of cotton production by textile enterprises, we should adopt a fiscal subsidy method for the storage and storage of cotton reserves this year.

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